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May 25, 2007
Creative Financing, or Pact with the Devil?
Planetizen is quoting a Philadelphia Business Journal article that suggests that leasing the Pennsylvania Turnpike could produce enough revenue to deal with much of the State's transportation funding needs, including transit service.
But the legislature is skeptical...
Posted by Chris Smith at 12:00 AM
Comments
May 28, 2007 1:21 PM
Greg Tompkins Says:
I would be in favor of such a "lease" only if the corporation that owned the infrastructure were an American-held company, not something like Maguire Group or that one in Spain (can't remember the name). However, in reading the story it looks like SEPTA (their Tri-Met) is where the real change is needed.
May 28, 2007 2:17 PM
Erik Halstead Says:
Well, leasing MAX hasn't gotten us anywhere.
(Yes, it's true. TriMet entered into a sale/leaseback agreement for the light rail fleet a couple years ago. According to Note 9(b), in 1997/1998 31 cars were leased to what TriMet only described as a "foreign investor". At the same time, those same 31 cars were then sub-leased to a "domestic investor", and then re-leased from that party - along with 41 more cars plus the two maintenance facilities (Ruby Junction and Elmonica).
In 2005, an additional 28 LRVs were leased under a similar arrangement.
(Source: 2006 TriMet annual report as filed with the Oregon Secretary of State's Office.)
